Edit This Favorite

The House Republican Blueprint and President Trump’s Tax plan propose to vastly increase the number of taxpayers who take the Standard Deduction. This vastly DECREASES taxpayers who itemize – from 30% to 5%. Therefore, the charitable deduction will not be available to 95% of taxpayers.

The nonpartisan Tax Policy Center estimates the Trump plan would reduce giving by 4.5 to 9%.

American Enterprise Institute estimates the Trump plan could eliminate more than $17 BILLION in annual giving.

Other proposals have proposed a floor on the charitable deduction (such as the tax reform discussion draft from former Ways & Means Chairman Dave Camp.) Floors send a signal that smaller gifts are less valued – a particularly troubling message to middle- and lower-income donors.

The Congressional Budget Office indicated that a floor of 2% of Adjusted Gross Income (AGI) would reduce annual charitable giving by $3 billion.